Number 62 20 December 2001

from negative five per cent to negative two and a half per cent with immediate effect.

Members are advised that when they ring the freephone this negative interest rate will be included in the balance/s given to them.

Members are further reminded the interim interest rate is the interest rate that is paid to members who are closing their membership of the scheme during the financial year. It is also a guide as to the performance of the scheme from 01 April until the time the rate is set.

Members will be aware of the effects of the terrorist attacks in the United States on the global investment markets. In Supernews 61 it was reported that quarterly performance reporting had been suspended until the September quarter reports had been received.

For the quarter ended 30 September 2001 Melville Jessup Weaver has published the following performance for other retirement savings providers in their ‘Investment Manager Survey of Balanced units'. The Trustees thank MJW for allowing the scheme to use the survey results.

The after tax and expenses performance of the scheme is also included for comparison. The results in per cent are:

AMPHG Investors - 6.7 ANZ Asset Mngt. - 4.6 Armstrong Jones - 4.7 Alliance Capital - 6.1 Bank of NZ - 5.2 Bankers Trust - 4.2 Guardian Trust - 5.1 NZ Fire Service - 5.4 Tower Asset Mngt. - 2.7

The scheme's performance is slightly disappointing when compared to other providers, but is able to be explained by the fact that the scheme invests in Index Funds for New Zealand and offshore equities where losses cannot be tax effected.

The scheme's after tax and expenses performance from 01 April to 31 October 2001 is estimated at negative 2.51%.

Members are reminded once again that investment performance should be judged over the medium to long-term and not short-term periods such as six months.

Members are reminded they should ensure the scheme always holds their correct postal address.

When you write to the scheme please include your current postal address on the correspondence. The address can be checked at that time and updated if necessary.

In Supernews 59 members were advised that the Trustees had initiated a full review of the position of the scheme's Investment Adviser.

Initially it was expected that an appointment would be completed by June 2001. As it has turned out this process has taken much longer than expected. At their December meeting the Trustees resolved to appoint Roger Wyatt, of Wyatt Investment Services Limited, to be the Investment Adviser to the scheme.

Roger was the previous Investment Adviser to the scheme whilst working at Jarden Morgan Investment Services Limited.

The Trustees decided in late 2000 to conduct a full review of the position of the scheme's Administrator. This position had not been reviewed since the appointment of Jacques Martin in February 1993.

As a result of a request for tenders and an interview process the Trustees have re-appointed Jacques Martin NZ Limited as the scheme's Administrator.

Members are advised that Jacques Martin have initiated an enhanced service for those members who call the scheme on 0800 MY SUPER — 0800 69 78737. If you call outside the hours of 8.00 am and 5.15 pm weekdays your call will be recorded and responded to the next working day.

Members are advised that much of the upgrading outlined in Supernews 59 as stage two of a three-stage project has been completed at the scheme's website. The economic commentary sections are yet to be placed on line.

Discussion has commenced with Jacques Martin to proceed stage three of the project to allow greater member interaction at the website as set out in Supernews 59 and members will be kept informed of progress.

Finally members are invited to access the scheme's website and to save the address as one of their ‘favourites'. The website has been and is being further developed for the benefit of members of the scheme to ensure accurate and timely information is available to all.

In Supernews 55 members were advised that the Trustees had resolved to invest 2.5 per cent of the scheme's assets in an offshore emerging markets fund. Subsequent to that the Trustees have further reviewed the matter and the decision was recently rescinded.

At this time the asset allocation of the scheme continues to be as set out in the Trustee Annual Report for the year ended 31 March 2001.

Recently the Trustees have resolved to place half of the New Zealand equity assets in an active equity investment rather than have all of these assets in the passive AMPHGI SuperTracker Fund.

Members will be advised when this change occurs.

THE TRUSTEES WISH MEMBERS ALL THE BEST FOR THE COMING FESTIVE SEASON AND PROSPERITY FOR ALL IN 2002.